According to FedEx, the storm severely disrupted the said the storm disrupted the movement of packages. The reported loss contributed to the fall of price of shares of FedEx. Price went down by 11 cents by incurring a fall of 11 percent. Earnings per share fell from $1,57 to $1,39. Net income for this quarter was $438 million. Revenue went up by 5 percent to $11.1 billion.
Another concern for the company is the continuing uncertainty over the potential fiscal cliff concerning rise of tax and spending cuts.
Operating income of FedEx Ground jumped by 4 percent to $412 million.
Earnings per share were forecast between $6.2-$6.6 till May 2013. Superstorm Sandy has minimized those figures. The program is expected to cost between $550m to $650m. EPS is expected to be $1.09 to $1.29. The exact level would depend on acceptance rate of the employees.